I agree that things can always get worse, even down here.
Nevertheless, here are my thoughts on MSOS, and why I think overall its a good risk reward at $5.35.
The negatives are the individual companies and thus MSOS have poor balance sheets, lose money or don't make much. AND, the etf trades for now ... based mostly on regulatory/legislative news in the sector. There's some bipartisan support, but also some big names against it. They can't quite get the bills out of committee. The positives are the sector has been flushed out. MSOS is down 90% from its highs ... I mean they were obviously unwarranted, but highs nonetheless.
Positives..... where else can you find a sector down 90% which has these attributes, 'The Marijuana Market grew to USD 16.1B in 2022 and is expected to exhibit a CAGR of 26.2% from 2023 to 2030.' And the 'Global Legal Marijuana Market Size to Surpass $103.8B by 2030.' I think its a good risk reward. Of course it can go lower.. the toilet flushing may continue, and a market dip won't help. But again, I think around here is a good place to start. Now some people prefer company specific plays and I like some.... GTBIF TSNDF and others. But I personally am only taking and trading small to teeny positions in those b/c its just a hard space, for me anyways, to model going forward on company specific basis. And its a sector bet for me really. best.
